Government And Fashion Bosses In Talks Over British Manufacturing

BUSINESS secretary Vince Cable says that the government will not subsidise a revival of the British manufacturing industry, despite recent talks with former Marks & Spencer chairman Sir Stuart Rose and clothing tycoon Lord David Alliance -executive director of Manchester-based home shopping catalogue N Brown Group and founder of textiles company Coats.The pair, along with a number of other unnamed fashion executives, want retailers to invest in British production in order to create new jobs and boost the economy.

"They have formed the view that there is scope for bringing back an industry that disappeared in the bonfire of the Eighties," Cable told This Is Money."This is already happening, but people like Lord Alliance have a more ambitious agenda, looking at the whole chain, finishing and dyeing - all those things we once did on a large scale in places like Lancashire.We are not going to subsidise this.It is down to the industry.But there are things the government can do in terms of training, apprenticeships and co-investing through regional growth funds.We have ways of helping."

Cable will also meet with Arcadia boss Sir Philip Green to discuss the issue.In the past year, the businessman's company has increased British production by 20 per cent.Furthermore, on Tuesday November 2, the business secretary will join fashion names including Paul Smith and Margaret Howell at a textiles conference encouraging UK retailers to buy British-made products.